Jackson ‘flagged ALP interference’ in HSU controversy

Outspoken union leader
Kathy Jackson
says she warned a workplace regulator in late 2010 that Labor Party figures wanted to sweep the controversy over the finances of the Health Services Union “under the carpet".

On the weekend, Ms Jackson released a 66-page response to a Fair Work Australia inquiry into the finances of the HSU’s national office, defending her actions as national secretary and blasting the conduct of the inquiry.

Ms Jackson took over as HSU national secretary from
Craig Thomson
. Mr Thomson, who now holds a crucial marginal seat for the federal ALP, faces allegations of credit card misuse during his time at the union. He has strongly denied the allegations and said he had co-operated with the FWA inquiry.

Ms Jackson’s statement includes a record of a conversation with
Doug Williams
, industrial registrar of the Australian Industrial Relations Commission, FWA’s predecessor.

Ms Jackson states she warned Mr Williams in a “private conversation" of possible political interference in the inquiry and quotes him as saying he got the Australian Government Solicitor involved in the inquiry for that reason.

Mr Williams is quoted as saying: “I know that the allegations against Craig Thomson can bring down the government and that there are powerful people in the ALP who might make an attempt to nobble the investigation from the inside after I leave.

“I got the AGS involved in an attempt to make sure that doesn’t happen and that the investigation is done properly." Mr Williams could not be contacted for comment yesterday. The federal government denies interfering in the inquiry, which began in 2009.

Last night the HSU distanced itself from Ms Jackson’s comments, saying factional fighting between the camps of Ms Jackson and ALP heavy­weight
Michael Williamson
had spilled into the media in recent weeks.

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“The possible misuse of the credit card was uncovered by some members of the national executive and it was the national executive who decided to appoint external auditors to investigate the claims and it was the national executive who referred the matter to FWA. Ms Jackson, as national secretary, was simply actioning a resolution of the national executive as she was required to do," acting HSU national president
Chris Brown
said.

Federal Workplace Relations Minister
Bill Shorten
said yesterday he would not intervene in the FWA inquiry. He said the inquiry could lead to a criminal investigation, which might prevent the release of the FWA’s findings.

Separately, NSW Police have set up a taskforce to examine allegations that a printing company paid secret commissions to Mr Thomson, and to the HSU’s east branch secretary, Mr Williamson, who has voluntarily taken leave while investigations are under way. Both men deny the claims against them.

Ms Jackson said she was outraged that FWA gave notice it would make adverse findings against her for failing to attend four meetings of the union’s national executive and for not filing the union’s 2007 accounts.

She is seeking to rebut the FWA’s queries to her, arguing that alleged breaches of workplace laws only carried a maximum penalty of $2200 each and were the main matters being examined by the FWA.